The Use of Funds Statements in Japan.

In July, 1939, a survey of selected Japanese companies was conducted under the sponsorship of the Sangyo Keiri Kyokai, the Institute of Industrial Management and Accountants, in an attempt to determine how funds statements are used in Japan. A total of 563 companies were chosen for the survey from the 601 incorporated companies whose stocks were listed at the Tokyo Stock Exchange on April 1, 1959. Two companies in liquidation and 36 banking and insurance companies were excluded. The survey was conducted by mailing a questionnaire to the companies and later sending interviewers for replies. In designing the questionnaire, it was kept in mind to make it structurally comparable to those employed in similar surveys in the U.S. and Canada. However, Japanese companies were in such peculiar circumstances that cash flow statements had to be treated separately from other funds statements. This necessitates caution in comparing the results with those of similar studies conducted in the U.S. and Canada. The article presents the detailed report of the survey.